ZRA hatchet falls on 7 erring businesses
By Ludia Ngwadzai
THE Zambia Revenue Authority (ZRA) is prosecuting seven corporate taxpayers for willfully failing to comply with Smart Invoicing requirements as part of an intensified enforcement drive to promote the use of the system.
ZRA corporate communications manager Oliver Nzala said in a statement failure to issue invoices or issuing non-compliant invoices outside the mandated electronic system constituted a serious tax law violation under the Value Added Tax Act.
While over 44,110 businesses have registered for Smart Invoice, the authority said registration alone was no longer sufficient.
“Usage must be consistent, accurate, and timely,” Nzala said.
He said the authority had increased field inspections and was issuing notices to entities with irregular usage or gaps in transaction reporting to improve compliance.
Taxpayers who failed to issue smart invoices faced penalties, including fines of up to K120,000 and/or imprisonment for up to three years.
“Each smart invoice carries a ZRA-issued QR code that can be scanned to verify authenticity,” Nzala said.
He said issuing a smart invoice was no longer just a regulatory requirement but part of how business was done in Zambia.
“Adopting it is one step; using it correctly, consistently and confidently is what will protect your operations from disruptions as a result of non-compliance,” he said.
Nzala urged businesses to take the requirements seriously, warning that the cost of non-compliance was both financial and reputational.
